Håkan Dahlström via Flickr
You know whats worse than a 19-year-old having a credit card? The 40-year-old with a credit card.
Inspite of the common perception that young people are the absolute worst when it comes to credit card employ, a study from your W. P. Carey College of Business at Az State College and the Federal Reserve Lender of Richmond shows that people between the age groups of 18 and twenty-five are among the least likely credit card users to have a serious default.
The particular researchers were looking at the results of the Charge card Act regarding 2009, which made it unlawful to problem credit cards to people under Twenty One years old unless they’d a co-signer or presented additional financial information.
Applying credit details, the scientists found it wasnt the particular young people who a poor history with charge cards.
According to the WP Carey college, people within their early 20s are more likely to be 30 or 60 days later but are one of the least probably 90 days or more past due.
Andra förare Ghent, associate professor inside the W. P. Carey School of Enterprise, says:
Young charge card users really default lower than middle-age borrowers. Also, people who choose to get credit cards early in life may learn from any minor non-payments and proceed, avoiding major credit card issues in the future. Plus, theyre more prone to be able to get a mortgage and become a home-owner at a young age.